New case study on digitalisation of financial service providers to serve low-income customers

This new publication explores the answers to the question: How best to digitalise a financial institution? The case study draws upon management consulting literature to assess digitalisation strategies in a pragmatic way. It assesses three leading African financial organisations against this framework: Al Barid Bank, Morocco; Equity Bank, Kenya; and Consolidated Bank, Ghana.

BRUSSELS, 11 October 2021 – The World Savings and Retail Banking Institute (WSBI)’s programme for financial inclusion, Scale2Save, launched today ‘A case study on connecting with low-income customers through digitalisation’, part of its State of the Savings and Retail Banking Sector in Africa research series.

Digitalisation is revolutionising the way financial service providers conduct their business. In Africa, the spread of mobile phones over the past two decades allowed the development of new forms of mobile transactions. Now digitalisation of African financial service providers is entering a new phase, as the widening use of mobile phones to access the Internet enables the roll-out of profitable digital services for low-income customers.

This new publication, co-authored with FinMark Trust, an independent non-profit trust for making financial markets work for the poor, explores the answers to a question that many executives are asking: How best to digitalise a financial institution? The case study draws upon management consulting literature to assess digitalisation strategies in a pragmatic way. It also assesses three leading African financial organisations against this framework: Al Barid Bank, Morocco; Equity Bank, Kenya; and Consolidated Bank, Ghana.

The aim of this publication, as of the Scale2Save programme, is to identify the elements for financial service providers to serve low-income people and therefore contribute to financial inclusion. By opening the doors of remote access to formal savings and payments to people long excluded from them, these new customers get opportunities to improve their economic situation. They are enabled to smooth consumption, build assets, prepare against risks and improve their ability to cope and recover from shocks. In the context of Covid and its consequences, this case study highlights the importance of speeding up digitalisation by financial services providers not only in their service offer but also as dynamic organisations and as part of a digital financial ecosystem. It also underscores customer centred initiatives as a key to success.

This case study will be widely disseminated among the 100 banks of the WSBI membership worldwide, and through specialised channels on financial inclusion and microfinance. WSBI’s Scale2Save is a six-year partnership with the Mastercard Foundation.
The publication is available for download free of charge here.

About WSBI

The World Savings and Retail Banking Institute (WSBI) is a global network of 100 members in 70 countries over four continents. Founded in 1924, it represents the interest of banks working responsibly and closely with their communities and SMEs. Together, WSBI members manage assets worth nearly $12,000 billion, serve 1.3 billion clients and employ over 2 million people.
Site Internet : https://www.wsbi-esbg.org/

About Scale2Save

Scale2Save is WSBI’s current programme on financial inclusion, a partnership with the Mastercard Foundation. Scale2Save works with local banks and institutions serving the most vulnerable in six African countries: Côte d’Ivoire, Kenya, Nigeria, Morocco, Uganda and Senegal. Innovative products and services are adapted to low-income customers, many living in remote underserved areas. Projects reach out to three long-time excluded groups: women, youth and farmers.

Share on facebook
Share on twitter
Share on linkedin
Share on pinterest